Agreements reached under this partnership
Joint venture- 1
Manufacture, processing, assembly and sale of various metal parts and metal products
- 2
Monetization through effective utilization of the Tan Truong factory owned by the Vietnamese subsidiary
- 3
Establishment of an additional procurement base in Vietnam for key industrial sewing machine components
- 4
Strengthening and enhancing the supply chain through geographic diversification of the procurement network
- 5
Establishment of a stable procurement system and shortening of procurement lead times
These are items that the documents state the two companies will work on. The lines above and below represent arrangements between the two companies.
This indicates whether the companies will do more than work together, such as holding each other’s shares or seconding personnel (capital and business alliance).
The Company expects the impact of this transaction on consolidated results for the fiscal year ending March 2027 to be immaterial.
| Item | Details |
|---|---|
| Name of alliance partner | Tianjin Baolai Precision Technology Group Co., Ltd. |
| Alliance partner's business activities | Primarily the manufacture and sale of high-end precision machinery components and new energy-related equipment |
| Alliance partner's location | Baodi District, Tianjin, People's Republic of China |
| Alliance partner's capital | RMB 50 million (registered capital) |
| Type of alliance | Joint venture |
| Details of the alliance | Manufacture, processing, assembly and sale of various metal parts and metal products, Monetization through effective utilization of the Tan Truong factory owned by the Vietnamese subsidiary, Establishment of an additional procurement base in Vietnam for key industrial sewing machine components, Strengthening and enhancing the supply chain through geographic diversification of the procurement network, Establishment of a stable procurement system and shortening of procurement lead times |
| Acquisition price | $98,000 (approximately ¥15.68 million) |
| Shareholding ratio | Not disclosed → The Company: 14.0% |
| Overview of the joint venture | Name: BAOLAI (VIETNAM) PRECISION TECHNOLOGY CO., LTD.; Location: Tan Truong Industrial Park, Hai Phong, Vietnam; Business: Manufacture, processing, assembly and sale of metal parts, metal products and processed metal products for industrial sewing machines, electronic equipment, electrical equipment and automobiles; Capital contribution: $700,000; Investment ratios: The Company: 14.0%; Tianjin Baolai Precision Technology Group Co., Ltd.: 86.0% |
| Ownership ratio | The Company: 14.0%; Tianjin Baolai Precision Technology Group Co., Ltd.: 86.0% |
| Date of board resolution | 31 July 2026 |
| Contract Date | August 2026 (scheduled) |
| Alliance start date | September 2026 (planned) |
| Impact on Business Performance | The Company expects the impact of this transaction on consolidated results for the fiscal year ending March 2027 to be immaterial. |
Items this document does not state (9)
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.To monetize the factory owned by the Company's Vietnamese subsidiary through effective utilization, secure a procurement base in Vietnam for key industrial sewing machine components, geographically diversify the procurement network, strengthen the supply chain, establish a stable procurement system, shorten procurement lead times and enhance the Group's competitiveness over the medium to long term.